Bank of America Bets $150 Million on America’s Workforce

Bank of America Corp. (NYSE:BAC) said Thursday it will hire 1,000 additional apprentices over the next two years and invest $150 million in U.S. workforce development programs over five years.The initiative expands the bank’s skills-based hiring efforts. It will create apprenticeship opportunities across consumer banking, technology, operations and other client-facing businesses.Bank of America Expands Skills-Based HiringBank of America already hires more than 800 apprentices each year. The paid programs combine on-the-job experience with training and typically last about 12 months.About 40% of the bank’s hires do not have a bachelor’s degree.The latest initiative also builds on the company’s commitment to hire 10,000 more people with military backgrounds over five years and 8,000 workers from community colleges.Bank of America also highlighted its minimum-wage policy, under which employees earn at least $50,000 annually.$150 Million Investment Targets Workforce TrainingThe $150 million commitment will support organizations that provide training, coaching and connections to long-term career opportunities.It follows nearly $40 million invested in 2025 through partnerships with more than 100 universities and community colleges and over 600 nonprofit organizations.“This is one more way for us to do what we can to help create a skilled American workforce for tomorrow,” CEO Brian Moynihan said.The bank said it will also continue investing in employee training through The Academy, its internal skills and development organization. See More: Top Value Stocks Bank of America Sees Flattish Q3 Trading RevenueSeparately, Bank of America recently offered a more cautious outlook for parts of its third-quarter business.At an industry conference last week, the company said third-quarter sales and trading revenue should be roughly flat from a year earlier.The bank also expects investment banking fees of $1.6 billion to $1.8 billion. That is below consensus estimates of about $2 billion and would imply a year-over-year decline of more than 10%.Stock AnalysisBank of America stock edged higher Thursday. The stock remains under short-term pressure.The stock is trading 7.1% below its 20-day simple moving average of $60.25 and 9.2% below its 50-day SMA of $61.63. However, it remains about 1.2% above its 200-day SMA of $55.29.Its relative strength index stands at 24, placing the stock in oversold territory. Traders may watch $63.50 as resistance and $51 as support.Analyst OutlookThe stock carries a Buy consensus rating with an average price forecast of $66.14.UBS raised its price forecast to $70 while maintaining a Buy rating on Aug. 3. JPMorgan raised its forecast to $68 with an Overweight rating on July 29. Evercore ISI raised its forecast to $67 while maintaining an Outperform rating on July 17.Price ActionBAC Stock Price Activity: Bank of America shares were up 0.16% at $56.09 at the time of publication Thursday, according to Benzinga Pro data.Photo via Shutterstock